Anek Lines S.A. — Audit Report / Information 2007

Oct 1, 2015

ANEK LINES SA

Summary financial data and information for the year from January 1st 2007 to December 31st 2007

(according to L. 2190, article 135 for companies publishing annual financial statements, standalone and consolidated, in accordance to the International Financial Reporting Standards)

The following data and information is only for general information purpose regarding the financial position and the results of operations of ANEK LINES SA and its Group. Readers who want to get a complete picture of its financial position and results, should visit the company' s website (www.anek.gr) where the annual financial statements, prepared in accordance with IFRS together with the report of the Certified Auditors – Accountants, are posted.

COMPANY INFORMATION

Registered Office: K. Karamanli Avenue, Chania

S.A. Reg. No.: 11946/06/Β/86/07

Supervising Authority: Ministry of Development

Date of approval of the Financial Statements (from which this information has derived): March 26th 2008

Certified Auditors - Accountants: Diamantoulakis Emmanouil (SOEL Reg. No. 13101), Zaharias Nikolaos (SOEL Reg. No. 15831)

Auditing Firms: GRANT THORNTON, SOL SA Auditors' Report: Unqualified opinion - Emphasis matter

Company's website: www.anek.gr

(Amounts in € thousand)		Group		Company	(Amounts in € thousand)		Group		Company
	31.12.2007	31.12.2006	31.12.2007	31.12.2006		from 01.01 to		from 01.01 to
ASSETS						31.12.2007	31.12.2006	31.12.2007	31.12.2006
Tangible fixed assets	370.350	351.066	356.848	336.883
Investments in property	2.249	2.291	1.192		1.234 Revenues	254.332	254.718	232.310	224.955
Intangible assets	591	850	591	850	Gross profit	60.273	65.729	60.908	68.496
Other non-current assets	3.183	2.958	4.741		4.237 Profit before taxes, financing and investing results,
Inventories	12.008	9.543	10.809		8.715 depreciation and amortisation	43.263	52.430	43.501	50.376
Trade receivables	69.860	78.055	70.432		80.609 Profit before taxes, financing
Other current assets	64.549	8.279	61.289		5.413 and investing results	27.104	35.643	29.099	35.586
TOTAL ASSETS	522.790	453.042	505.902		437.941 Profit before taxes	12.284	22.842	13.778	20.601
					Less income tax expense	(473)	(1.337)	(167)	(253)
LIABILITIES & EQUITY					Profit after taxes	11.811	21.505	13.611	20.348
Long-term borrowings	210.403	254.186	209.862	253.643
Provisions and other long-term liabilities	6.554	7.207	4.988		5.568 Attributable to:
Short-term borrowings	44.235	31.989	43.016		31.492 Equity holders of the Company	12.314	20.187	-	-
Other short-term liabilities	45.135	48.327	38.204		44.103 Minority interest	(503)	1.318	-	-
Total liabilities (a)	306.327	341.709	296.070	334.806
Share capital	161.299	59.740	161.299		59.740 Earnings after taxes per share basic - (in €)	0,10	0,35	0,11	0,35
Other equity items	49.460	45.547	48.533		43.395 Proposed dividend for distribution per share (in €)	-	-	0,05	0,06
Total Company's Shareholders Equity (b)	210.759	105.287	209.832	103.135
Minority interest (c)	5.704	6.046	-	-
Total Equity (d) = (b) + (c)	216.463	111.333	209.832	103.135		CASH FLOW STATEMENT
TOTAL LIABILITIES & EQUITY (e) = (a) + (d)	522.790	453.042	505.902		437.941 (Amounts in € thousand)	Group		Company

STATEMENT OF CHANGES IN EQUITY					31.12.2007	31.12.2006	31.12.2007	31.12.2006
	Operating activities
(Amounts in € thousand)	Group			Company	Profit before taxes	12.284	22.842	13.778	20.601
	31.12.2007	31.12.2006	31.12.2007		31.12.2006 Plus (Less) adjustments for:
Equity at the beginning of the year (01.01.2007 and 01.01.2006, respectively)	111.333	89.484	103.135		79.412 Subsidiary profits before depreciations (due to consolidation process change)	-	(2.451)	-	-
Profit after taxes of the year	11.811	21.505	13.611		20.348 Depreciation	16.159	16.787	14.402	14.790
Increase of share capital	102.754	-	102.754	-	Amortization of grants for assets	(246)	(386)	(162)	(302)
Dividends paid	(9.780)	(90)	(9.678)	-	Provisions	229	1.813	294	1.291
(Purchases) / sales of treasury shares	-	3.104	-		3.104 Results of investing activities	(830)	(64)	(655)	58
Other equity movements	345	(2.670)	10	271	Profit / (loss) from sale of fixed assets	(1)	(6)	-	-
Equity at the end of the year (31.12.2007 and 31.12.2006, respectively)	216.463	111.333	209.832		103.135 Unrealised foreign exchange differences	(18)	2	(13)	2

					from 01.01 to		from 01.01 to
STATEMENT OF CHANGES IN EQUITY		31.12.2007	31.12.2006	31.12.2007	31.12.2006
					Operating activities
(Amounts in € thousand)	Group		Company		Profit before taxes	12.284	22.842	13.778	20.601
	31.12.2007	31.12.2006	31.12.2007		31.12.2006 Plus (Less) adjustments for:
Equity at the beginning of the year (01.01.2007 and 01.01.2006, respectively)	111.333	89.484	103.135		79.412 Subsidiary profits before depreciations (due to consolidation process change)	-	(2.451)	-	-
Profit after taxes of the year	11.811	21.505	13.611		20.348 Depreciation	16.159	16.787	14.402	14.790
Increase of share capital	102.754	-	102.754	-	Amortization of grants for assets	(246)	(386)	(162)	(302)
Dividends paid	(9.780)	(90)	(9.678)	-	Provisions	229	1.813	294	1.291
(Purchases) / sales of treasury shares	-	3.104	-		3.104 Results of investing activities	(830)	(64)	(655)	58
Other equity movements	345	(2.670)	10	271	Profit / (loss) from sale of fixed assets	(1)	(6)	-	-
Equity at the end of the year (31.12.2007 and 31.12.2006, respectively)	216.463	111.333	209.832		103.135 Unrealised foreign exchange differences	(18)	2	(13)	2
					Interest and related expenses (less interest income)	16.147	14.931	15.971	14.770
	ADDITIONAL DATA AND INFORMATION				Other non-cash revenues – reversal of assets impairment	(492)	(2.229)	-	-
						43.232	51.239	43.615	51.210
1. The following companies are included in the consolidated financial statements:				Years	Plus (less) adjustments for changes of working capital accounts
		Group's	Consolidation	not subject to	or related to operating activities:
Company name	Seat	Percentage	method	tax audit	Decrease / (increase) of inventories	(2.451)	76	(2.094)	(62)
ANEK LINES S.A.	Chania	Parent	Full	2005 - 2007	Decrease / (increase) of receivables	6.065	(12.192)	7.496	(13.472)
LANE S.A.	Agios Nikolaos	50,11%	Full	1994 - 2007	Increase / (decrease) of liabilities (other than borrowings)	(3.623)	1.421	(6.309)	1.234
ETANAP S.A.	Stilos, Chania	50%	Full	2006 - 2007	Less:
LEFKA ORI S.A.	Stilos, Chania	62%	Full	2003 - 2007	Interest & related expenses paid	(17.644)	(14.783)	(17.459)	(14.625)
CHAMPION FERRIES LTD	Marshall Islands	70%	Full	-	Income taxes paid	(810)	(429)	(559)	(261)
ANEK HOLDINGS S.A.	Chania	99,50%	Full	-	Cash flows from operating activities (a)	24.769	25.332	24.690	24.024
T.C. SAILING SHIPPING COMPANY	Chania	97,50%	Full	-
ANEK LINES LUXEMBOURG S.A.	Luxembourg	100,00%	Full	-	Investing activities
ANEK LINES ITALIA S.R.L.	Ancona, Italy	49%	Equity	1999 - 2007	Acquisition of affiliates and other investments	(5.548)	-	(6.028)	-
2. The subsidiaries ANEK HOLDINGS S.A. and T.C. SAILING SHIPPING COMPANY were founded on the third quarter of the fiscal year 2007. ANEK HOLDINGS S.A.					Proceeds from the sale of securities & other investments	4.723	231	4.723	231
founded ANEK ENERGY LTD with full participation (100%), which has yet to initiate business activities, much like T.C. SAILING SHIPPING COMPANY. ANEK LINES					Purchase of tangible and intangible fixed assets	(34.681)	(4.989)	(34.067)	(4.281)
LUXEMBOURG S.A. was founded during the last quarter of 2007 as a special purpose company. 3. The main accounting principles of the annual financial statements					Proceeds from the sale of fixed assets	32	11	-	-
of 31.12.2006 have been observed. 4. On the assets of the Group there are the following liens: mortgages on ships amounting to € 421.2 million (€ 420.0 million for					Interest received	1.532	53	1.523	51
the Company), mortgages on real estate of € 2.6 million (€ 2.2 million for the Company) and pledges on machinery of € 1.9 million The above liens exist to secure borrowing obligations the total of which, on 31.12.2007, amounts to € 235.0 million for the Group (€ 233.2 million for the Company). 5. There are no litigious disputes or					Dividends received	247	117	335	274
differences in arbitration burdening the Group, which could significantly affect its financial standing. 6. The number of personnel employed by the companies of the					Proceed from grants	206	172	-	172
Group on 31.12.2007 was 1,303 people (1,134 for the Company) and on 31.12.2006 1,426 people (1,259 for the Company). 7. The General Meeting of 03.02.2008 and					Cash flow from investing activities (b)	(33.489)	(4.405)	(33.514)	(3.553)
the Special General Meeting of 02.03.2008 decided to issue bonded loans for up to € 160 million and authorized the BoD to define the special terms of their issue. 8.
The procedure of restructuring of the Company's long-term borrowing with a group of Greek banks was completed in the end of March 2008. 9.The earnings per share					Financing activities
were calculated based on the average weighted number of shares on the total of shares. 10. The emphasis matter in the review report of the Certified Auditors - Accountants concerns the Parent's fiscal years not subject to a tax audit (see note 12 in the financial statements). 11. The amount of sales and purchases, accumulated					Proceeds from the issue of share capital	106.796	-	106.637	-
from the beginning of the year and the balances of receivables and liabilities of the Company and Group at the end of the current year, which have arisen from					Payment of expenses for share capital issuance	(3.887)	-	(3.883)	-
transactions with associated parties, as defined by IAS 24, are as follows:					Proceeds from loans issued/ undertaken	9.875	258	9.129	-
					Loan repayment	(41.412)	(28.275)	(41.385)	(27.929)
(Amounts in € thousand)		Group	Company		Proceeds from sale of treasury shares	-	3.104	-	3.104
a) Sales of goods and services		-	97		Dividends paid	(9.655)	(55)	(9.604)	(15)
b) Purchases of goods and services		4.228	8.673		Cash flow from financing activities (c)	61.717	(24.968)	60.894	(24.840)
c) Receivables		-	6.152		Net increase (decrease) in cash and
d) Payables		163	338		cash equivalents (a) + (b) + (c)	52.997	(4.041)	52.070	(4.369)
e) Transactions and fees of executives and members of the BoD		1.424	1.231		Cash and cash equivalents at beginning of the year	3.260	13.495	2.562	6.931
f) Receivables from executives and members of the BoD		36	36		Less: subsidiary cash (due to consolidation process change)	-	(6.194)	-	-
g) Payables to executives and members of the BoD		8	8		Cash and cash equivalents at end of the year	56.257	3.260	54.632	2.562

1. The following companies are included in the consolidated financial statements:				Years	Plus (less) adjustments for changes of working capital accounts
		Group's	Consolidation	not subject to	or related to operating activities:
Company name	Seat	Percentage	method	tax audit	Decrease / (increase) of inventories	(2.451)	76	(2.094)	(62)
ANEK LINES S.A.	Chania	Parent	Full	2005 - 2007	Decrease / (increase) of receivables	6.065	(12.192)	7.496	(13.472)
LANE S.A.	Agios Nikolaos	50,11%	Full	1994 - 2007	Increase / (decrease) of liabilities (other than borrowings)	(3.623)	1.421	(6.309)	1.234
ETANAP S.A.	Stilos, Chania	50%	Full	2006 - 2007	Less:
LEFKA ORI S.A.	Stilos, Chania	62%	Full	2003 - 2007	Interest & related expenses paid	(17.644)	(14.783)	(17.459)	(14.625)
CHAMPION FERRIES LTD	Marshall Islands	70%	Full	-	Income taxes paid	(810)	(429)	(559)	(261)
ANEK HOLDINGS S.A.	Chania	99,50%	Full	-	Cash flows from operating activities (a)	24.769	25.332	24.690	24.024
T.C. SAILING SHIPPING COMPANY	Chania	97,50%	Full	-
ANEK LINES LUXEMBOURG S.A.	Luxembourg	100,00%	Full	-	Investing activities

BALANCE SHEET INCOME STATEMENT Emmanouil Apostolakis Kyriakos Virvidakis Dimitrios Kantilierakis Georgios Archontakis Emmanouil Galanakis Michael Marakakis Chairman: A' Vice-Chairman (presiding): B' Vice-Chairman C' Vice-Chairman Managing Director: Deputy Managing Director: Members: Irineos Galanakis, F. Metropoliatn Kisamou and Selinou Georgios Katsanevakis Spyridon Protopapadakis Kyriakos Badieritis Ioannis Vardinoyiannis Aristotelis Balis Board of Directors

transactions with associated parties, as defined by IAS 24, are as follows:			Proceeds from loans issued/ undertaken	9.875	258	9.129	-
			Loan repayment	(41.412)	(28.275)	(41.385)	(27.929)
(Amounts in € thousand)	Group	Company	Proceeds from sale of treasury shares	-	3.104	-	3.104
a) Sales of goods and services	-	97	Dividends paid	(9.655)	(55)	(9.604)	(15)
b) Purchases of goods and services	4.228	8.673	Cash flow from financing activities (c)	61.717	(24.968)	60.894	(24.840)
c) Receivables	-	6.152	Net increase (decrease) in cash and
d) Payables	163	338	cash equivalents (a) + (b) + (c)	52.997	(4.041)	52.070	(4.369)
e) Transactions and fees of executives and members of the BoD	1.424	1.231	Cash and cash equivalents at beginning of the year	3.260	13.495	2.562	6.931
f) Receivables from executives and members of the BoD	36	36	Less: subsidiary cash (due to consolidation process change)	-	(6.194)	-	-
g) Payables to executives and members of the BoD	8	8	Cash and cash equivalents at end of the year	56.257	3.260	54.632	2.562

Chania, March 26th 2008

Georgios - Evagelos Vasilakis Michael Georvasakis Markos Michailakis

THE 2ND VICE-CHAIRMAN OF THE BOARD OF DIRECTORS

SPYRIDON I. PROTOPAPADAKIS ID. No. ΑΑ 490648

THE MANAGING DIRECTOR

IOANNIS I. VARDINOYIANNIS ID. No. Π 966572

THE CHIEF FINANCIAL OFICCER

STYLIANOS I. STAMOS ID. No. Μ 068570

THE HEAD OF THE ACCOUNTING DEPT

IOANNIS E. SPANOUDAKIS H.E.C. License No. 20599/A' CLASS